Eni Signs Two PSCs for Offshore Exploration in Vietnam

Eni on Monday said it has signed two Production Sharing Contracts (PSCs) with PetroVietnam for the exploration of Blocks 116 and 124, located off the coast of Vietnam.

Block 116 covers an area of about 5,000 sq km in the Song Hong basin, in waters with a depth ranging from 10 to 120 meters. The PSC block, wholly owned by Eni, provides for an exploration period of seven years divided into 3 phases. Block 124 covers an area of 6,000 sq km in the Phu Khanhbasin, in waters that have a depth ranging from 50 to 2,600 meters. The PSC provides for an exploration period of seven years divided into 2 phases. This block is held by Eni, which is the operator with a 60% stake, and by Santos Vietnam with a 40% stake.

“The participation in these two new high-potential blocks will consolidate our presence in the area and support our growth in the Pacific basin. The proximity of these blocks to those which we already operate will enable us to exploit at best the logistical and operational synergies, with considerable savings in terms of time and costs,” said Eni's CEO, Claudio Descalzi.